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They surely use IBD for assigning regions (which they started doing around the Spring or Summer of 2018).
But this method is not perfect either because it cannot tell the exact cause-effect relationship of a DNA match.
For example, I scored "Tyumen Oblast" among my regions and I'm 99% sure that I don't have any ancestors from there, on the other hand I'm also sure that some Poles who were sent to Siberia in the 19th century (as punishment for uprisings against Russia) ended up there.
So my match to Tyumen Oblast is most likely because of some Polish DNA there. Or, something ancient.
In general all Europeans share a lot of IBD with each other.
Obviously they show only IBD shared with nations counted as "East Euro" category under this category.
For my French-German, they show two regions in Germany as well as "Grand Est" and "Hauts de France".
These French regions might also be due to Polish migrants there (at least this is what mlukas suggested).
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